FB Financial in Nashville, Tenn., reported lower quarterly profit that reflected its decision to sell underwater securities.
The $12.9 billion-asset company said in a press release that its third-quarter earnings fell by 47% from a year earlier, to $10.2 million.
FB Financial said it sold $318.6 million of available-for-sale securities at a $40.2 million loss. The company said it reinvested the proceeds into higher-yielding securities.
The company also noted that its funding costs rose by 6 basis points from the second quarter, to 2.83%, due to an issuance of $369.1 million of brokered deposits. The company said it “took advantage of favorable relative terms” when it took on the brokered deposits.